Companhia Siderúrgica Nacional (SID) AI Stock Analysis

• Market Cap: $1.98B
• Dividend Yield: 15.3%
• Average Volume (3M): 2.43M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.05
• Revenue Growth: -10.77%
• EPS Growth: -191.87%
• Country: US
• Employees: 24,924
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Steel
• EPS (TTM): -0.02
• Shares Outstanding: 1,326,094,000
• 10 Day Avg. Volume: 1,675,748
• 30 Day Avg. Volume: 2,432,497
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 4.30
• Enterprise Value/Revenue: 0.19
• Enterprise Value/Gross Profit: 0.72
• Enterprise Value/Ebitda: 1.04
• 1Y Price Target: $1.50
• Price Target Upside: 0.00%
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 50 Neutral
• Price Target: $1.50 ▲(0.00% Upside)

Companhia Siderúrgica Nacional's overall stock score reflects significant financial challenges, including declining revenues and high leverage, which weigh heavily on the score. The earnings call provided some optimism with strong EBITDA growth and debt reduction, but the negative cash flow and intense market competition remain concerns. The high dividend yield is a positive aspect, but the negative P/E ratio underscores profitability issues. Technical analysis shows a bearish trend, further impacting the score.

Companhia Siderúrgica Nacional Business Overview & Revenue Model

Company Description

Companhia Siderúrgica Nacional operates as an integrated steel producer in Brazil and Latin America. It operates in five segments: Steel, Mining, Logistics, Energy, and Cement. The company offers flat steel products, such as high, medium, low carbon, micro-alloyed, ultra-low-carbon, and interstitial free slabs; hot-rolled products, including heavy and light-gauge hot-rolled coils and sheets; cold-rolled products comprising cold-rolled coils and sheets; galvanized products; tin mill products that consist of flat-rolled low-carbon steel coils or sheets; and profiles, channels, UPE sections, and steel sleepers for the distribution, packaging, automotive, home appliance, and construction industries. It primarily explores for iron ore reserves at Casa de Pedra and Engenho mines located in the city of Congonhas; and limestone and dolomite at the Bocaina mine located in the city of Arcos in the state of Minas Gerais, Brazil, as well as produces tin. In addition, the company operates railway and port facilities; produces and sells cement to construction material stores, home centers, concrete producers, construction companies, mortar industries, and cement artifact producers; and generates electric power from its thermoelectric co-generation and hydroelectric power plants. It also exports its products. The company was incorporated in 1941 and is headquartered in São Paulo, Brazil. Companhia Siderúrgica Nacional operates as a subsidiary of Vicunha Aços S.A.

How the Company Makes Money

CSN generates revenue primarily through the sale of steel products, which include flat steel (such as sheets and coils) and long steel (like bars and rods). The mining segment contributes significantly to its earnings through the extraction and sale of iron ore. Additionally, the cement division adds to the revenue stream by supplying construction materials. The company benefits from strategic partnerships with various sectors, including construction and automotive industries, which provide a consistent demand for its products. Fluctuations in global steel prices, demand from domestic and international markets, and operational efficiencies also significantly impact its earnings.

Companhia Siderúrgica Nacional Financial Statement Overview

Summary

Companhia Siderúrgica Nacional faces significant financial challenges, with declining revenues, negative profitability, and high leverage. The company struggles with liquidity, as evidenced by negative free cash flow growth and high debt levels. While operational margins have decreased, the company needs to address its leverage and improve cash flow management to stabilize its financial position.

Income Statement

The income statement shows a declining trend in revenue with a significant decrease in revenue growth rate at -42% TTM. Gross profit margin is relatively stable at around 26-27%, but the company is experiencing negative net profit margins, indicating losses. EBIT and EBITDA margins have decreased over the years, reflecting reduced operational efficiency.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 4.14 TTM, indicating significant leverage and potential financial risk. The return on equity is negative, reflecting the company's inability to generate profit from shareholders' equity. The equity ratio is not provided, but the high leverage suggests a lower proportion of equity in the capital structure.

Cash Flow

Cash flow analysis shows negative free cash flow growth and a negative free cash flow figure TTM, highlighting liquidity challenges. The operating cash flow to net income ratio is low, indicating weak cash generation relative to reported losses. The free cash flow to net income ratio is positive but low, further emphasizing cash flow issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	44.69B	43.69B	45.44B	44.36B	47.91B	30.06B
Gross Profit	11.78B	11.70B	11.30B	13.31B	22.07B	10.94B
EBITDA	8.23B	7.28B	8.58B	10.07B	23.08B	9.69B
Net Income	-2.34B	-2.59B	-318.21M	2.17B	12.26B	3.79B
Balance Sheet
Total Assets	101.07B	103.91B	91.53B	85.35B	79.38B	63.00B
Cash, Cash Equivalents and Short-Term Investments	19.16B	24.22B	17.55B	13.45B	19.30B	13.73B
Total Debt	52.64B	57.75B	45.59B	41.61B	33.12B	35.80B
Total Liabilities	83.43B	88.45B	71.84B	63.54B	56.00B	51.75B
Stockholders Equity	14.69B	12.27B	17.50B	19.49B	20.31B	9.91B
Cash Flow
Free Cash Flow	-211.06M	3.16B	2.88B	-3.33B	13.57B	7.89B
Operating Cash Flow	5.61B	8.65B	7.29B	2.04B	16.43B	9.58B
Investing Cash Flow	-1.76B	-1.12B	-4.59B	-11.45B	447.93M	-1.86B
Financing Cash Flow	-1.02B	-103.83M	1.32B	4.75B	-8.53B	1.19B

Companhia Siderúrgica Nacional Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SID, the sentiment is Positive. The current price of 1.5 is above the 20-day moving average (MA) of 1.44, above the 50-day MA of 1.42, and below the 200-day MA of 1.53, indicating a neutral trend. The MACD of 0.03 indicates Negative momentum. The RSI at 59.36 is Neutral, neither overbought nor oversold. The STOCH value of 50.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SID.

Companhia Siderúrgica Nacional Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CMC	72 Outperform	6.51B	187.46	0.90%	1.24%	-5.64%	-93.26%
GGB	71 Outperform	6.09B	11.09	5.95%	3.44%	-6.55%	-37.93%
TX	70 Neutral	6.91B	11.81	-0.45%	7.67%	-16.83%	0.00%
SIM	69 Neutral	4.68B	13.39	10.64%	―	-18.58%	-35.32%
CLF	52 Neutral	5.74B	-3.40	-27.59%	―	-12.14%	-4329.00%
SID	50 Neutral	$1.98B	―	-15.57%	15.30%	-10.77%	-191.87%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

Companhia Siderúrgica Nacional Corporate Events

Companhia Siderúrgica Nacional Releases Interim Financial Report for June 2025

On July 31, 2025, Companhia Siderúrgica Nacional released its interim financial information for the period ending June 30, 2025. The independent auditor’s review concluded that the company’s financial statements were prepared in accordance with applicable standards and regulations, showing no discrepancies. This report provides a comprehensive overview of the company’s financial health, which is crucial for stakeholders and investors to assess its current market position and future prospects.

CSN Reduces Stake in Usiminas with Significant Share Sale

On August 5, 2025, Companhia Siderúrgica Nacional announced the sale of 36,235,837 common shares and 472,200 preferred shares of Usinas Siderúrgicas de Minas Gerais S.A. (Usiminas), reducing its stake in Usiminas to 4.99% of both common and preferred shares. This strategic move may impact CSN’s financial positioning and influence its market strategy, as the company plans to keep stakeholders informed of any further developments.

CSN Reports 2Q25 Results with Improved Profitability Amidst Financial Pressures

On July 31, 2025, CSN reported its financial results for the second quarter of 2025, highlighting a net revenue of R$ 10,693.3 million, which saw a slight decrease due to a drop in iron ore prices. Despite this, the company achieved a gross profit increase of 7.7% from the previous quarter, driven by cost reductions and an effective commercial strategy. The adjusted EBITDA rose to R$ 2,643.0 million, reflecting improved profitability despite challenges in the steel industry. However, the adjusted cash flow was negative, impacted by increased investments and high interest rates, indicating financial pressures despite operational improvements.

Companhia Siderúrgica Nacional Reduces Stake in Usiminas

On July 31, 2025, Companhia Siderúrgica Nacional announced the sale of 35,192,508 common shares and 27,336,139 preferred shares of Usinas Siderúrgicas de Minas Gerais S.A. – Usiminas to Globe Investimentos S.A. This transaction reduced the company’s stake in Usiminas to 10.13% of common shares and 5.08% of preferred shares, totaling 7.92% of the overall share capital. This strategic move is expected to impact the company’s financial positioning and its influence in the steel market, while stakeholders await further updates.